Yeah, 4 mbit, that is, 512 kbps. Notice the command line:
CEIL=500 (...) rate ${CEIL}kbps ceil ${CEIL}kbps ^^^^ ^^^^
It's still a bit too close to link speed - uplink allow for overheads - downlink you need to be below link speed to have a queue - its fill rate depending on the % of link used.
How are you measuring packet loss?
Andy.
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